How to calculate interest

laurajd28

Hi,

I've got a Halifax One Card, and the 0% on purchases is coming to an end soon.
I've got £550 on the card - how do I work out how much interest I would pay on it each month?


Thanks

izools

What is the APR?

If it's 16.9% for example, a quick & dirty calculation will give you an estimate (it's not exact):

0.169 x 550 (Annual Interest) = £92.95 Interest PA

£92.95 / 12 = £7.75 interest per month.

Depends on the APR but it should be around £7 to £9 a month

laurajd28

izools wrote: »

What is the APR?

If it's 16.9% for example, a quick & dirty calculation will give you an estimate (it's not exact):

0.169 x 550 (Annual Interest) = £92.95 Interest PA

£92.95 / 12 = £7.75 interest per month.

Depends on the APR but it should be around £7 to £9 a month

Fantastic!!! I was working it out and not dividing it per month, so was panicking that I would be paying £90 per month in interest!!!!!

Thank you sooooooo much for your help!!!!

Laura xx

realaledrinker

Presumably you are looking at a new CC with >12m interest free on transfers? At 3% for the fee it will be much cheaper than keeping the debt on the existing card.

http://www.stoozing.com/0fees.php